Markets down slightly today in Europe, in a financial climate that remains stagnant, intimidated by the possible global economic slowdown (industrial production in China and other macro data disappoint) and waiting for ideas to change pace, starting with raising the ceiling of US debt. Today, US President Joe Biden is expected to meet with the Speaker of the House, Kevin McCarthy and other congressional leaders to try to reach an agreement. For now, Wall Street is weak in boot.
business square, after a timid rise in the morning, it aligns with the general trend and loses 0,17%, falling to 27.198 basis points, weighed down by the losses of Telecom (-2,24%) and by auto sector stocks, while it stands out mps, queen of the blue chips with a leap of 4,24%.
In the rest of Europe London loses 0,34%, Paris 0,16%, are paired Frankfurt e Madrid to -0,09%, while Amsterdam marks +0,01%,.
On the foreign exchange market it is little moved the euro-dollar, around 1,085.
Raw materials in particular lack sprint gold and oil. Spot gold loses 0,7% around 2002 dollars an ounce; Brent makes -0,6%, 74,78 dollars a barrel, while Texan crude appreciates by 0,3% to 71,34 dollars a barrel.
Yellen, time is running out
The countdown to US debt he has already left, because if politics does not find an agreement, there may also be a lack of money to pay the bills in early June.
“Time is running out,” warned the Treasury secretary Janet Yellen – and the impasse is already creating problems for American taxpayers”. The stalemate also brought the cost of insuring US exposure to record levels, while it should be recalled that in 2011 a similar situation cost the US a historic rating downgrade and turmoil on the stock market.
In the meantime, they are negotiating with lower prices i T-bonds which see yields rise.
Macroeconomic data below estimates
In the absence of other cues, investors focus on macroeconomic data.
In the US they are below expectations retail sales, which rose after two consecutive cuts but less than expected (+0,4% after -0,7% in March and expectations of +0,8%).
In tune, on the stock of wall street, is felt the decline of Home Depot, -3,6%, one of the worst performing stocks on the S&P 500, after the retail chain lowered its sales and earnings forecasts for fiscal 2023 as consumer spending and demand for consumer product categories continue to decline.
In Europe it is reported the German Zew index, which measures the sentiment of the economy, which slipped to -10,7 against expectations of -5,3. In April he was positive at 4 points.
It also disappoints the GDP of the Eurozone, which rose only 0,1% in the first quarter.
In Italy inflation of April is slightly corrected downwards by Istat, but remains strong: +0,4% on a monthly basis and +8,2% on an annual basis.
In China industrial production fell by 0,4% per month in April, for a change on the year of 5,6%, clearly below market estimates which assumed growth of 11%.
Piazza Affari, floating in the rain
Piazza Affari is floating today under a pouring rain (metaphor aside), which is flooding many areas of the north, particularly in Emilia-Romagna and which will soon make its effects felt on the economy.
Banca MPS stands out on the main list, thanks to the promotion of some analysts. In particular, Bofa, in a report on the entire Italian banking sector, raised the rating on the stock of the Sienese institute to neutral from the previous underperform. The other banks appear to have been neglected, with the big ones, Intesa and Unicredit closing a session with little movement, but with the opposite sign, -0,43% for the first, +0,51% for the second.
They go up the list Finecobank + 2,08% stm + 1,86% Erg +1,58%. Fine Interpump +0,44% after the excellent quarter and forecasts for the whole of 2023 beyond the guidance. Some analysts have raised the target price for the stock.
Among the worst stocks is Telecom, in the aftermath of the indiscretion reported by the Bloomberg agency, according to which CDP would be ready to give up the offer on the fixed network.
In the sector also weighs the thud of Vodafone (-7,18%) in London, which expects free cash flow to drop sharply and the cut of eleven thousand jobs in three years.
Back off Amplifon -2,27%.
Auto sector shares sold, with Cnh -2,21% and stellantis -1,14%. The latter also lost 1,3% on the NYSE, after announcing that it will recall 219.000 Jeep Cherokee SUVs worldwide due to fire risks.
They are negative nexi -1,29% and Prysmian -1,79%.
Outside the main basket it bounces Dovalue +11,44%. Boom by reevo, +18,15%, which is close to the price of the tender offer launched by White Bridge.
Stable spreads
Nothing to report with regard to government bonds. The spread between the ten-year Italian and German terms it is confirmed at 187 basis points, with rates respectively indicated at +4,22% and +2,34%.
For the primary, today the Ministry of the Economy announced that the first BTp Value, which will be issued by the Treasury between 5 and 9 June, provides for an extra final loyalty bonus equal to 0,5% of the invested capital. The prize will be reserved for those who buy the security during the placement days and hold it until maturity.
